I partnered with someone and we just closed on our first property. It’s a 2-family house and we put 10% down. Most of our personal cash is now tied up with this property. What are the financial strategies to get that 2nd property?
@Jared Ferraro, first you may want to consider utilizing more of a BRRRR strategy so that you can get your money out of future deals and keep it in play.
As for going forward now, you have a few potential options to consider:
@Jared Ferraro, first you may want to consider utilizing more of a BRRRR strategy so that you can get your money out of future deals and keep it in play.
As for going forward now, you have a few potential options to consider:
When it comes to using a HELOC bear in mind there are new tax rules. Under the old rule you could deduct the interest from a HELOC regardless of how it was used. Under the current rule you can only deduct the interest if you use it to improve the property. So if you use it to buy a new investment there is no tax incentive and an interest liability. If you use it to rehab the property you have a tax incentive....still have to pay the interest, no way out of that one! : )